Tomra Systems (TOM) Q3 2026 earnings summary

Executive summary

• Q3 revenue rose 20% YoY to €366M; adjusted EBITA increased 55% to €47M from €30M, and adjusted EBITA margin rose to 12.9% from 10.0%.

• Operating cash flow was €112M versus €64M; Collection led growth, while Recycling profitability improved and Food delivered double-digit growth.

Financial highlights

• Q3 gross margin was 43.0%, down from 44.1%, mainly reflecting Collection mix; operating expenses rose to €110M from €104M.

• Q3 adjusted EPS increased to €0.08 from €0.05; operating cash flow was €112M versus €64M, and investment cash outflow was €12M versus €68M.

• 9M revenue rose 18% to €1,105M; adjusted EBITA increased 30% to €130M, with adjusted margin of 11.8% versus 10.7%.

• 9M reported EBITA was €117M versus €104M; reported EPS was €0.17 in both periods, while adjusted EPS was €0.20 versus €0.16.

• 9M operating cash flow was €210M versus €147M; Q3 EBITDA was €73M versus €52M, and 9M EBITDA was €190M versus €167M.

Outlook and guidance

• Collection H2 2026 revenue expected at €410M–€430M; H2 gross margin above 40% and FY gross margin around 40%. Quarterly operating expenses expected near €52M, plus €1M–€2M negative FX impact.

• Recycling FY 2026 revenue expected at €205M–€215M; Q4 gross margin 50%–54%, operating expenses near €19M, and 55% of backlog expected to convert in Q4.

• Food FY 2026 revenue expected at €347M–€357M; Q4 gross margin 43%–47%, with 80% of backlog expected to convert and quarterly operating expenses near €28M.

• Horizon FY 2026 revenue expected at €45M–€50M, operating expenses near €27M and capex below €10M; total 2026 capex expected at €90M–€100M.

• UK Collection installations are expected to begin contributing in late 2026, with most phase-one deliveries in 2027 and some extending into 2028.